CBM Asia Development Signs Production Contract for Indonesia License

CBM Asia Development said last week it has signed a production sharing contract with the government of Indonesia for the Kuala Kapuas I coal bed methane (CBM) block.

CBM Asia Development said last week it has signed a production sharing contract with the government of Indonesia for the Kuala Kapuas I coal bed methane (CBM) block.

The central Barito basin is in South Kalimantan and is dominated by ExxonMobil and BP. The award of the license is CBM Asia’s first holding in the basin. Barito has an original gas in place estimate of about 102 Tcf, the company said.

“We hope to add to our Barito basin acreage in the near future through the production sharing contract bid process and joint ventures,” said chief executive Alan T. Charuk.